GM Ends Jobs Bank on Monday. Calls It Something Else. Will Reinstate ASAP.
You may recall this headline. That’s because we’ve already used it: “ Chrysler Ends Jobs Bank on Monday. Calls It Something Else. Will Reinstate ASAP.” In said post, we debunked the idea that the United Auto Workers (UAW) was making anything resembling a concession. To refresh your memory, the union said the action on the Jobs Bank was a temporary suspension, rather than an outright elimination. Today, Bloomberg reports that the 1,600 GM employees currently enjoying the benefits of the UAW jobs bank will be out in the cold as of February second. But not really. GM spokesman Tony Sapienza tells Bloomberg that those leaving the jobs bank will get state unemployment benefits and “some GM pay.” Over at Automotive News [sub], Sapienza said GM is discussing “supplemental pay” [emphasis added] with the union “as part of current negotiations.”
But hey, at least it looks like a concession, so the bailouts can continue.
“We really appreciate our union partners’ willingness to work with us as we restructure our business for long-term viability and work on terms of the bridge loans,” says Sapienza.
And what of the UAW’s claim that the Jobs Bank had been “suspended” on December 3 after becoming the union’s “jet-gate?”
GM workers who qualified for the jobs bank were told to stay home, and received 85 percent of their pay. Seeing a pattern here? The UAW also set Jan. 26 as the date to halt the Jobs Bank at Chrysler LLC, but confirmation is unavailable. Since Ford isn’t accepting federal money (yet), the Blue Oval Jobs Bank remains intact.